Buying a house at auction can feel exciting, fast-paced, and—if you're lucky—profitable. But for first-time buyers, it can also be intimidating. With no cooling-off period, tight deadlines, and legally binding commitments, auctions are not for the faint of heart.

This guide breaks down everything you need to know to approach your first property auction with confidence—and avoid costly mistakes along the way.

Why Buy a House at Auction?

Auctions can be a great option for first-time buyers who are:

• Looking for a fixer-upper or renovation project
• Hoping to buy below market value
• Comfortable with a fast and firm buying process
• Tired of being stuck in property chains

If you're prepared and do your homework, you can land a great deal—but you need to understand how the process works.

The Auction Process Explained (Step-by-Step)

1. Search Property Auction Listings
   Look on websites like EIG Auctions, Auction House, Savills, or iamsold. Filter by area, budget, and property type. You can also use our UK property auctions aggregator to find listings in one place.
2. Review the Legal Pack
   The seller provides a legal pack, which includes title deeds, searches, lease info (if leasehold), and special conditions.
   📝 Tip: Always get a solicitor to review this before you bid.
3. View the Property
   Most auction properties allow viewings. Always go see the property in person and take someone with experience if possible. For example, if you’re considering house auctions in London, local knowledge is key.
4. Secure Your Financing
   You’ll need 10% of the purchase price on auction day, and the remaining 90% within 28 days.
   💡 Tip: Have a mortgage in principle or, ideally, be a cash buyer. Some buyers use bridging loans for short-term financing.
5. Register to Bid
   Online or in-person—you’ll need ID and proof of funds. Make sure you understand all the auction terms and conditions.
6. Bid at Auction
   Stick to your maximum budget. Don’t get carried away in the moment.
7. Exchange and Complete
   If you win, you exchange contracts immediately and pay the 10% deposit. Completion typically happens within 28 days.

Risks and Mistakes to Avoid

• ❌ Not reading the legal pack: You may miss unexpected ground rents, service charges, or legal disputes.
• ❌ Overbidding in the heat of the moment: Set a hard budget and factor in extra costs like solicitor fees, stamp duty, and renovations.
• ❌ Assuming you can back out: You’re legally bound once the hammer falls. If you default, you’ll lose your deposit and face legal consequences.
• ❌ Not getting a survey: Auction properties are sold as seen. Arrange a survey if time allows.
• ❌ Relying on a standard mortgage: Many mortgages take too long. Use cash, bridging finance, or a fast-track mortgage.

Pro Tips for First-Time Auction Buyers

• Visit multiple auctions as an observer before you bid
• Get a solicitor lined up early for legal pack reviews
• Have a full cost plan: deposit, fees, stamp duty, and repairs
• Look at auction results to see sold prices in your area
• Don’t fall in love with a lot—there’s always another one

Frequently Asked Questions

Can first-time buyers buy a house at auction in the UK?

Yes, many first-time buyers purchase properties at auction. It’s important to understand the risks and prepare in advance.

What do I need to bid at a property auction?

You need to register in advance, have proof of ID and funds, and be ready to pay a 10% deposit immediately if you win.

Can I get a mortgage for an auction property?

Yes, but timing is critical. You’ll typically need pre-approval or use bridging finance due to short completion deadlines.

Final Thoughts

Buying a house at auction can be a smart move for first-time buyers, but it’s not without risk. Preparation is everything. By understanding the process, reviewing legal packs, arranging finances in advance, and bidding with discipline, you can secure a great property—without any nasty surprises.

Remember: At auction, it’s not just about the hammer falling. It’s about being ready when it does.